On Wednesday, the Nigerian Exchange experienced a bearish trend, resulting in a significant decline of N208 billion in market capitalization, which brought the total to N59 trillion. This shift was marked by a drop in the All-Share Index (ASI) of 343.31 points, reflecting a 0.35 percent decrease that concluded the session at 97,296.57 points. This downturn signifies a broader trend, highlighting a one-week loss of 0.95 percent and a four-week loss of 0.74 percent. Despite the current decline, the ASI has demonstrated resilience with a considerable year-to-date gain of 30.12 percent, indicating a generally upward trend in the market for the year.
During the day’s trading session, a total of 127 equities were engaged, with 23 stocks showing gains while 26 experienced losses. The trading volume reached 822.46 million shares across 9,385 transactions, resulting in a turnover of N10.29 billion. This marked a substantial increase, with trading volume rising by 49 percent and turnover by 28 percent compared to previous sessions. The day also exhibited notable competitive activity, as several stocks gained ground amidst the overall market decline, showcasing both volatility and investor interest in certain equities.
The top gainer for the day was Sunu Assurances Nigeria, which surged by 9.97 percent, closing at N4.19 per share. Other strong contenders included Guinea Insurance, gaining 8.16 percent to close at 53 kobo, and Conoil and Daar Communications, both up by 6.56 percent to a closing price of N276.00 and 65 kobo, respectively. Additional gainers that contributed positively included NASCON, closing up by 6.23 percent at N32.40, and Caverton Offshore, which appreciated by 5.56 percent to end at N1.90 per share. These values signal targeted investor confidence in certain sectors, particularly in insurance and oil-related companies.
On the flip side, the bearish sentiment was exemplified by John Holt, which saw the largest drop, down 10 percent to N9.90 per share. Other notable losers included Aradel Holdings Haldane McCall, which fell by 8.43 percent to close at N5.65, and UPDC, which shed 8.12 percent and settled at N1.47 per share. This marked decrease in specific equities illustrates the unpredictable nature of the market, driven by varying investor sentiments and external economic factors affecting business performance.
Examining the performance of various NGX indices, the Insurance Index emerged as a standout, gaining 1.24 percent, leading to a one-week gain of 4.28 percent and an impressive year-to-date increase of 54.15 percent. Similarly, the Oil and Gas Index rose by 1.02 percent, accumulating a one-week gain of 1.14 percent and a robust year-to-date increase of 135.46 percent. Conversely, although the Banking Index saw a modest rise of 0.14 percent, it reflected a decline of 3.93 percent over the past week, contrasted with a year-to-date gain of 12.45 percent. These indices illustrate a mixed performance, suggesting shifts in sectors that are more resilient or favored by investors during periods of market volatility.
Trading activity was particularly notable for Haldane McCall, which experienced the highest trading volume at 374 million shares. Following closely were Japaul Gold and Ventures with 116 million shares traded, and Tantalizers with 30.7 million shares. United Bank for Africa also showed significant trading activity, recording a volume of 29.4 million shares. These statistics underline the dynamic environment of the Nigerian equity market and highlight sectors attracting heightened trading interest amid fluctuating overall market trends. In comparison, on Tuesday, the market rebounded slightly, adding N8 billion in market capitalization and indicating a resilient, albeit volatile, economic environment in Nigeria’s equity landscape.
